Newport News Weighs Leaving Health District

Study Concludes City Subsidizes Other Localities

April 27, 1991|By MICHAEL S.C. CLAFFEY Staff Writer

Newport News is considering pulling out of the Peninsula Health District in response to a study that says its taxpayers are subsidizing health care in James City County and Williamsburg to the tune of $100,000 a year.

The move would mean James City and Williamsburg residents would have to pay more to keep up the level of services now given its residents. The other participants in the regional group - Poquoson and York County - would not gain or lose much by the shift, the Peninsula health director says.

Newport News City Manager Edgar E. Maroney has recommended withdrawing from the regional agency that provides public health care for all Peninsula residents except Hampton, which has its own Health Department.

Newport News' staff is looking into the mechanics of how to bring about the split, which would require action by the City Council. The city would spend about $1.9 million of its own money on health care under Maroney's budget proposal.

The state supplements cities' and counties' spending on health and now pays about 60 percent of the $5 million budgeted to care for Newport News residents; combining the city's contribution and its share of state money allocated to the Peninsula Health District - about $200,000 - James City and Williamsburg are getting a $300,000 subsidy from Newport News, said Health Director Daniel C. Warren.

Warren, who presides over the entire district, said the study of health care spending was undertaken at the request of James City County.

``I think it was not what they expected, but unfortunately they asked the question first,'' Warren said. ``I don't have any position either way. It's strictly a local government option.''

He said he had met with James City officials and reviewed the findings with them last month.

Del. Shirley Cooper, who represents York County, Poquoson and Williamsburg, speculated last year that her constituents were subsidizing health care in Newport News. She said Friday she was skeptical of the findings.

She repeated her contention that York, James City, Poquoson and Williamsburg would be better off if they severed their public health link with Newport News.

Questioning the claim that $500,000 was spent on health care in York last year, she said, ``I would challenge you to come down here and find any of it.''

Responding to Cooper's comments, Warren said, ``She is welcome to come down here and look at the budgets.''

Warren said it was clear that, ``James City County is receiving $300,000 more in services than it is contributing.'' He said York County is breaking even and that Poquoson is paying for slightly more than the services it receives - about $30,000, including its share of the state monies.

It should be possible to split the district up by July 1, Warren added.

``I'm sure it will have some impact'' on James City County, he said. ``They will have to increase local funding.'' The county will have to pay at least 45 percent of the money, while the state would match it up to 55 percent, if the money is available, Warren said.

James City has a $613,000 health budget, including its share of state funding, and its residents this year are receiving $899,000 in services, according to the Health Department study.

Williamsburg and James City officials could not be reached for comment late Friday.